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EU Commissioner welcomes ratification of agreements on TANAP project by Azerbaijani Parliament

23 November 2012 07:33 (UTC +04:00)

‘This decision shows concrete position of Azerbaijan in transportation of its gas to European market. And this means that the gas will be delivered to European borders via this pipeline and then distributed to entire Europe. I welcome emergence of Azerbaijan, especially SOCAR in European energy market’, said Oettinger.

Note that, on November 20, Azerbaijani Parliament ratified 2 agreements connected with TANAP project. These are - Agreement between Azerbaijan and Turkey on the Sale of Natural Gas to Turkey, and Development of a Pipeline for its Transit and Transportation on the Turkish Territory, which signed on October 25, 2011, in Izmir city, and the Agreement on TransAnatolian natural gas pipeline system between Azerbaijan and Turkey, signed on June 26 2012, in Istanbul.

Remind that, on June 26, 2012, Azerbaijan and Turkey signed agreement on TANAP project in Istanbul. Realization of TransAnatolian pipeline project will cost $7 bn. The diameter of the pipeline has been considered at 56 inches or 1.4 meters. The project will be implemented in 4 stages. The first stage will be completed in 2018. Its capacity of the pipeline will be hit 16 bn cbm in 2020; 23 bn cbm in 2020; 31 bn cbm in 2026. During the first period, 10 bn cbm of Azeri gas will be sold to Europe, 6 bn cbm – to Turkey. The gas, considered for Europe, will be handed over on Turkish-Bulgarian or Turkish-Greek border.

Note that, SOCAR owns 80%, BOTAS and TPAO 20% share in TANAP project. SOCAR intends to distribute a 29 per cent share in TANAP as follows: Statoil and BP – 12 per cent, Total – five per cent.